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Kossan Rubber Plans to Expand Synthetic Rubber Gloves Manufacturing Capacity

Malaysia: Kossan Rubber Industries Bhd, a Malaysia based glove manufacturer, plans to make an investment of USD106.86 million for setting up of four new production plants in Selangor. The combined production capacity of the new manufacturing plants is estimated to be around 18 billion pieces annually. This expansion is expected to continue for the next four years and would be completed in phases, with each phase including the completion of one plant. The first plant is expected to complete by the end of 2017 and would have a production capacity of around 4.5 billion pieces per year. The company has also begun the construction if its nitrile glove plant in Jalan Meru in Klang located near its existing plant. This would further add production capacity of about 3 billion pieces per year upon completion which is scheduled in the mid of 2017. Kossan Rubber Industries Bhd, a Malaysia based glove manufacture expanded its operations by adding two new production plants in 2015. Presently, the company has a production capacity of 22 billion pieces per year out of which 70% is nitrile gloves and remaining is natural rubber gloves.

TechSci Research depicts that the expansion of glove manufacturing facility by Kossan Rubber Industries Bhd would create an increased demand for Nitrile Butadiene Rubber (NBR) in the country. On account of steady growth in demand for NBR, the overall synthetic rubber market is projected to exhibit steady growth over the next five years.

According to TechSci Research report  China Synthetic Rubber Market Forecast and Opportunities, 2020”, the synthetic rubber market in China is projected to cross US$ 12 billion by 2020.  This growth is anticipated on the back of continuously rising production output of the domestic tyre industry along with increasing demand for synthetic rubber from various other industries, such as polymer modification, gloves, footwear, asphalt modification and adhesives.

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